GameStop Buys ThinkGeek
GameStop profit was up last year thanks to solid console sales but generally the business of selling optical media is on a downward slope. GeekNet, the parent company of ThinkGeek, cancelled a merger with Hot Topic to broker this sale even as the company was facing a decline in earnings. However, it does still sell physical products that would work well in GameStop stores.
According to a GameStop press release,, the “transaction provides a natural extension of GameStop’s existing product offering and is expected to add an immediate incremental $100+ million in annual net sales.”
The acquisition will close by Q2 2015.